The Hospitality Dictionary: Guide To 240+ Hotel Terms & Acronyms

Hospitality Acronym	Acronym Meaning
ABR	Average Bed Rate
ADR	Average Daily Rate
AGOP	Adjusted Gross Profit
AGR	Agreed
AI	All Inclusive
ALOS	Average Length of Stay
ARI	Availability, Rates and Inventory
AV	Audio Visual
BAR	Best Available Rate
BC	Banquet Check
BEO	Banquet Event Order
BKG	Booking
BOB	Business On Books
BOH	Back of House
BTC	Bill to Company
CMP	Complete Meeting Package
CO	Check Out
COS	Cost of Sale
COTB	Comparative on the Books
CPOR	Cost Per Occupied Room
CRM	Customer Relationship Management
CRS	Central Reservation System
CSM	Conference Service Manager or Convention Service Manager
CVB	Convention and Visitors Bureau
DB	Direct Books
DDR	Delegate Day Package
DMC	Destination Management Company
DND	Do Not Disturb
DOC	Director of Catering
DOSM	Director of Sales and Marketing
ETA	Estimated Time of Arrival
ETD	Estimated Time of Departure
EXP	Expected
F&B	Food & Beverage
FAM	Familiarization Tour
FB	Full Board
FIT	Free and Independent Traveller
FOH	Front of House
FOM	Front Office Manager
FR	Function Room
GBP	Group Booking Pace
GC	General Cleaning
GDS	Global Distribution System
GM (a)	Gross Margin
GM (b)	General Manager
GOP	Gross Operating Profit
GOPPAR	Gross Operating Profit per Available Room
GOR	Gross Operating Revenue
GRA	Guest Room Attendant
GRC (a)	Guest Registration Card
GRC (b)	Group Rooms Control Log
GS	Guest Services
GSO	Global Sales Office
GTD	Guaranteed
HB	Half Board
IBE	Internet Book Engine
IPO	Individual Pays Own
LOS	Length of Stay
LRA	Last Available Room
MAR	Minimum Acceptable Rate
MICE	Meetings, Incentives, Conventions and Exhibitions
MLOS	Minimum Length of Stay
MOD	Manager on Duty
MOM	Month on Month
MTD	Month to Date
MUR	Make-Up Room
NRB	Negotiated Rate Business
NS	No Show
OTA	Online Travel Agent
PMS	Property Management System
POS	Point of Sale
PP	Per Person
PPPN	Per Person Per Night
PV	Pool View
RFI	Request For Information
ROH	Run of House
SKS	Super King Size

Hospitality Term	Term Meaning
Above the line	Relating to advertising in the mass media (television, newsletters, on the internet etc).
Acceleration clause	A provision that accelerates the deposit payment schedule or demands full prepayment in the event of lack of credit by purchasing organisation.
Accommodation	Service or space provided to a guest.
Act of god	A natural hazard or natural disaster outside of human control. Parties are not contractually.
Advance Rates	Discounted rates to help encourage guests to book in advance.
Affinity Group	A group formed around a shared interest or common goal. People can formally or informally belong to these groups.
Agenda	A list of meeting activities in the order in which they will be taken up.
Agent	A person employed to act on behalf of another with the power to act (e.g. third party planner).
Allotment	A number of pre-negotiated hotel rooms which have been held or bought by an agent or supplier.
Alternative Availability	Alternative properties or rooms being offered when the requested property or room is unavailable.
Amenity	An item or service provided by the hotel that offers comfort, convenience or enjoyment for the hotel's guests.
Attrition	Refers to the percentage of rooms that must be filled in order to avoid paying a penalty.
Attrition Fees	Fees associated with failing to meet the requirements of the agreed-upon attrition.
Banquet	An elaborate or formal dinner for a large number of people. Ceremonial in nature. The person responsible for supervising staff, operations and guests at banquet experiences.
Banquet Captain	The person responsible for supervising staff, operations and guests at banquet experiences.
Banquet Round	A round table used at a banquet meal. Typically used at weddings and would seat 8-12 wedding guests.
Banquet Setup	The seating arrangement created to help facilitate the banquet event and food service.
Base Fee	The minimum compensation expected for managing and generating revenue for the hotel, earned by the hotel operator.
Bed Tax	A tax added to the price of the hotel based on which city or county that hotel resides in.
Below The Line Promotion	An advertising strategy utilising media other than mainstream radio or television such as direct mail campaigns or brochures.
Benchmarking	Evaluation by comparison against other hotel competitors. Key metrics could include room rates and overall quality.
Bid-Ask Spread	The difference between the highest price that a buyer is willing to pay for an asset and the lowest price the seller is willing to accept.
Blocked	Rooms reserved without a deposit.
Boardroom Setup	A room that seats executives with the chief executive at the head, typically on a long narrow boardroom table.
Booking Patterns	Confirmed sales in a hotel establishment that exhibit a pattern.
Boutique Hotels	Hotels smaller in size that separate themselves from large chains with personalised services and products.
Breakout Rooms	Customisable shared spaces where small groups of attendees can meet. Typical of bridal showers, brunches and more.
Butler Service	Personal service provided by to guests by the hotel.
Buyer	A person responsible for reserving room blocks for their client or company.
Booking Pace	The speed at which bookings materialise from booking date to the arrival date.
Business Mix	The market segment mix that makes up the hotel occupancy which is measured as a percentage.
Cabaret Set-Up	Room arrangement with cocktail tables, chairs and a stage.
Carabet Table	Similar to banquet style tables but smaller in diameter and seat chairs ⅔ of the way around.
Campfire Session	An informal way of presenting and discussing topics with conference attendees.
Catering Sales Manager	A person responsible for promoting the company, helping find new customers and developing relationships for repeat business. Also responsible for hiring, event planning and food preparation.
Channel Management	The process of managing online distribution channels to sell your hotel inventory to various agents such as online travel agents (OTAs).
Charter Group	An organised group of travellers with a custom itinerary.
Closing Ratio	The percentage of calls to contacts resulting in a sale.
Cold Call	The solicitation of business by a hotel salesperson to potential customers with no prior contact with the person receiving the call.
Competitive Set	A group of competitor hotels by which a hotel can compare itself and its performance to.
Commission	A pre-defined fee or percentage of payment to a party for bringing in business to a hotel.
Commissionable Rate Commitment	A contract binding a portion of the room rate to be paid to a specific third party such as an intermediary planner.
Complimentary Ratio	A set ratio of rooms provided at no cost - a common incentive when negotiating the sale of room blocks.
Confidential Tariff	A private discount on rooms specifically for wholesalers, tour operators and travel agents. These tariffs are unavailable to the public.
Co-op Advertising	When multiple brands collaborate with one another to form a mutually beneficial promotion.
Cooperative Marketing	An agreement between two companies to promote and/or sell each other’s products while also selling their own. Often these products will complement each other and serve a common target audience.
Cooperative Partner	Working alongside a tourism office, an independent organisation works to provide donations or cash to help increase the marketing performance of a tourism office’s program.
Corporate Planner	A person to specialises in planning large-scale events for corporations and businesses.
Corporate Rate	A pre-determined special rate for guests who are staying under the negotiated terms for businesses.
Cut-Off Date	The date at which all unused guest rooms that were reserved for a particular party/business will be released to the public.
Day Guests	Guests who arrive and depart the hotel on the same day.
Decor	The furnishings and decoration of a room. These elements can be combined to create an aesthetic theme for an event such as a wedding.
Dedicated Bandwidth	A portion of the hotel’s internet bandwidth which has been dedicated to a particular party or group, such as a business conference.
Definite Booking	A booking that is firm and clear and unlikely to be changed. Usually, a booking that is confirmed in writing.
Demand	Anticipated business for a set period of time. Demand ebbs and flows, for example, seasonal times of the year.
Displacement Analysis	A type of analysis to determine if a group booking (business) would be more beneficial than leaving the rooms to transient customers (non-business) and walk-in guests.
Distressed Inventory	Last minute discounted hotel rooms to help ensure the business reaches full capacity. Similar to the way airlines sell last-minute seats on flights.
Distressed Sale	Occurs when a property needs to sell assets due to unfavourable conditions which results in the seller receiving a lower price.
Early Arrival	A pre-determined agreement with the hotel that allows guests to check-in earlier than the standard time. More often than not, these early check-in’s are sold at an additional price.
Ecotourism	A form of tourism involving responsible travel to natural areas - conserving the environment and improving the well-being of the local people.
English Service	A particular service that requires food to be placed on large platters or in large bowls. Often regarded as a much more informal style of service.
Enterprise Planner	Working exclusively for a large corporation, an enterprise planner coordinates brand events that range from small scale internal meetings to large conferences.
Exposition	Another term used for a large public exhibition of art or trade goods.
Extranet	A private network where hotels can log in and provide their rates, availability and restrictions.
Familiarisation Tours	An event to help familiarise the attendees with the host destination.
Feeder City	City of origin which feed travellers to hubs or getaway cities.
Fenced Rate	Refers to reservations that offer certain benefits to bookers. Often certain conditions and requirements must be met by the booking party.
First-Tier City	These represent the most developed areas of the country with the most affluent consumers.
Folio	A guest’s hotel account overview, detailing all the charges and payments made which is stored at the reception desk.
Forecast	Analysis on revenue expectations for a precise period of time.
Forecasting Model	A tool used to predict outcomes regarding sales, supply and demand, consumer behaviour and more.
Full Board	Includes three main meals with the room rate. Breakfast, lunch and dinner which are usually served as a buffet.
Gala Dinner	A party for a large number of invited guests. Generally consists of a sit down or buffet-style meal, with entertainment and possibly an awards ceremony.
Government Planner	A person to manages events for government functions.
Group Demand	Business from a particular group predicted for a specific period or date.
Group Rate	A set rate secured for all rooms in a room block, which typically correlates to a certain event.
Half-Board	A rate paid which includes a room, breakfast and the choice of either lunch or dinner.
Half-Pension	A rate paid which includes a room, breakfast and dinner.
Heads In Beds	A particular strategy to increase hotel bookings by casting a wider net than they originally do.
Hospitality	Hospitality is the friendly treatment and care of guests in the service and hospitality industry, with the goal of providing comfort and satisfaction.
Hospitality Industry	The hospitality industry encompasses businesses providing services related to travel, accommodation, food and drink, recreation, and entertainment.
Hot Buttons	An issue that arises which creates an emotional reaction, issues and legal principles in hotel contracts that cause tension between planners and suppliers.
House Count	The total number of guests currently on the books at a hotel.
House Manager	A position below the General Manager who is responsible for an individual hotel.
Icon	A well known famous landmark or facility which is associated with the destination.
Inbound Tourism	Visits to a country by visitors who are not residents of that country.
Incidental Charges	Any service or product that costs extra from the room rate such as parking, late check-out, in-room movies.
Incentive Travel	A prize or reward trip to help incentivise the hotel's staff’s increase in productivity and/or quality of work.
Independent Hotel	A hotel that is not associated with a nationally or regionally recognised hotel, resort brand or franchise.
Intranet	An internal private website (or portal) to help employees stay up-to-date with their company.
Intelligent Hotels	Or “smart hotels”, utilise the latest internet-connected devices to help with the day-to-day running of the hotel.
Inventory	All the rooms available to the public that are ready to sell across all channels.
Joint Venture	A business agreement in which two or more parties pool their resources together with the aim of completing a specific common goal or task.
Lanai	A room that features a patio or balcony that overlooks water or a garden.
Lead	A potential booking that has yet to commit to the purchase of a room or block of rooms.
Lead Conversion	A lead that has successfully been converted into a customer.
Look-To-Book Ratio	The percentage of people who book with you after viewing your property's website. Also known as “conversion rate”.
Market Parity	A process in which you assess your product or service contribution against competitors to help define your market price and competitiveness.
Market Share	The percentage of total sales (by value) that a business has in a specific market segment.
Merchant Rate	A business model used by Online Travel Agents (OTAs) to markup hotel net rates to sell to the public.
Net Rate	A hotel rate given to travel agents and tour companies that can be marked up and sold at a higher rate to the end customer.
No-Show	When a confirmed customer or party does not show up for their reservation without contacting the hotel to cancel or change.
Occupancy	The number of occupied rooms divided by the number of rooms available.
Occupancy Forecast	A prediction for the hotel’s occupancy rate during a set period.
Occupancy Rate	The ratio of rooms being used to the total amount of rooms available.
Offsite	A company meeting or event that happens off company grounds and external space is required.
Other Revenue	Revenue made that is not from room blocks or food and beverage.
Outbound Tourism	Residents travelling to an international destination.
Outside Vendor	A supplier that is not considered in-house nor part of the preferred vendor list for the hotel.
Overbooking	When a hotel sells more rooms than physically available.
Partition	A portable wall or barrier that can easily be moved to help divide large spaces into smaller ones.
Pax	An alternative term used for the number of people or passengers
Peak Season	A season or set of dates where occupancy at the hotel is at its highest or is predicted to be at its highest.
Pitfall	A hidden or unexpected danger or difficulty.
Positive Space	A confirmed reservation
Press Trip	Enables journalists to experience a property or service first-hand with the intention of writing about it.
Preferred Rate	A rate negotiated between a hotel and a particular client.
Programme	The schedule for a planned event with times and pieces of event agenda.
Proprietary Booking Engine	An independent or group of hotels that own and operate their internet reservation system.
Prospecting	Finding potential customers and clients. Usually undertaken by sales reps to help expand the customer base.
Protected	A supplier or wholesaler who provides a guarantee to reimburse an agent’s commission on prepaid confirmed bookings, regardless if they cancel or not.
Qualified Rate	A rate that is only offered if certain qualifications are met such as corporate rate or promotional package.
Qualifying Questions	Specific questions from hotels that help examine and determine potential future business.
Quin	A room which has been set up to comfortably accommodate five people.
Rack Rate	The term used for the published rate for one night’s stay without any discounts or premiums included.
Rate Parity	When certain conditions are met, a hotel will keep the same price across all its different distribution channels.
Receiving Fee	A charge that may be incurred from the hotel for handling packages that are delivered on behalf of guests or groups.
Receptive Operator	People who manage arrangements for incoming visitors. This can include things like airport transfers, restaurant bookings and accommodation bookings.
Refreshment Break	A specific period during or between events where snacks and beverages are provided.
Refundable Deposit	If certain conditions are met, a deposit may be returned to the buyer.
Repeat Business	Returning customers or clients to a hotel.
Repeat Booking	When repeat business is booked again on behalf of the same client.
Revenue Management	A continuous process of analysing data to predict demand and adjust hotel rates accordingly.
RevPAR	A metric used to measure hotel performance.
Room Block	A specific set of rooms that are researched for guests in a group.
Room Class	A grouping of rooms based on similar characteristics. For example, double or king-size rooms.
Room Nights	Booked rooms multiplied by the number of nights those rooms are reserved for.
Room Rack	A filing system designed to display guest and room status information.
Rooms Management Module	An application used on a property management system used at the front office. This application helps maintain up-to-date information on room status, assignment of rooms and coordinate guest services.
Rooms to Space Ratio	The ratio required for each attendee in a room. A typical rule of thumb is 20 square feet of space per attendee.
Rooms Yield	An equation using the average revenue of all rooms, divided by the number of rooms in a hotel, divided by 265 nights.
Sales Blitz	An organised effort to focus all its sales force on a particular task or event.
Sales Yield	The amount of income or profit made from sales.
Second Tier City	Also known as a midsize city. The term is used for a popular event city that doesn’t meet the infrastructural requirements of a first-tier city.
Shoulder Nights	A night that is either side of a peak day. FOr example, Sunday would generally be considered a shoulder night as the night is lower in demand compared to Saturday night.
Shoulder Season	A period adjacent to the peak season with lower occupancy.
Site Inspection	A planner conducts an in-person evaluation of the hotel and event space.
Social Event	An event taking place at a hotel with its primary purpose of networking or celebrating a life event such as a wedding or birthday.
Source of Business	A breakdown of how and where business was brought in from and which channel was used.
Stay Pattern Management	A revenue management method seeking to optimise the hotel’s capacity.
Stop Sell	Halting the hotel from being booked on distribution channels, normally used when the hotel is sold out during a certain time period.
Third Party Planner	An experienced event planner that negotiated hotel contracts for events on behalf of the booking organisation.
Trade Show	An exhibition for a specific industry showcasing products and services. Held for members of a common or related industry.
Transient Business	Business made up of a segment of people looking for short and often urgent hotel stays. Typical of walk-in guests, business travellers and last-minute bookers.
Transient Demand	The prediction of demand from the transient segment for an upcoming period.
Transient Occupancy Tax	City or country tax which is added to the price of a hotel room.
Trial Close	A sales tactic professionals use to try and determine whether the buyer is serious about closing the deal.
Turn	The process of completing changing up a meeting room set-up from one event to another.
Two-pack Hotels	Also known as dual-brand hotels used to describe a property that combines and houses two hotels that operate separately. Usually seen from two brands from the same chain of hotels.
Unconference	This is a participant-driven meeting. Dictated in real-time and favours discussion and interaction with people attending.
Unconstrained Demand	Refers to the number of rooms that could be sold if there were no constraints or limits.
Unqualified Rates	Rates that are offered to hotel guests without restrictions or conditions.
Voice	Taking a hotel reservation over the phone.
Walk	This involves moving guests to another nearby hotel when overbooking occurs.
War Room	An alternative term used for the office or meeting room.
Wholesaler	Third-party businesses that sell hotel rooms such as websites, distribution channels and extranets.
Yield Management	An alternative term for “revenue management”. The process of understanding, analysing, anticipating and reacting to consumer behaviour to help maximise the hotel’s revenue.

Hospitality Term

Term Meaning

Above the line

Relating to advertising in the mass media (television, newsletters, on the internet etc).

Acceleration clause

A provision that accelerates the deposit payment schedule or demands full prepayment in the event of lack of credit by purchasing organisation.

Accommodation

Service or space provided to a guest.

Act of god

A natural hazard or natural disaster outside of human control. Parties are not contractually.

Advance Rates

Discounted rates to help encourage guests to book in advance.

Affinity Group

A group formed around a shared interest or common goal. People can formally or informally belong to these groups.

Agenda

A list of meeting activities in the order in which they will be taken up.

Agent

A person employed to act on behalf of another with the power to act (e.g. third party planner).

Allotment

A number of pre-negotiated hotel rooms which have been held or bought by an agent or supplier.

Alternative Availability

Alternative properties or rooms being offered when the requested property or room is unavailable.

Amenity

An item or service provided by the hotel that offers comfort, convenience or enjoyment for the hotel's guests.

Attrition

Refers to the percentage of rooms that must be filled in order to avoid paying a penalty.

Attrition Fees

Fees associated with failing to meet the requirements of the agreed-upon attrition.

Banquet

An elaborate or formal dinner for a large number of people. Ceremonial in nature. The person responsible for supervising staff, operations and guests at banquet experiences.

Banquet Captain

The person responsible for supervising staff, operations and guests at banquet experiences.

Banquet Round

A round table used at a banquet meal. Typically used at weddings and would seat 8-12 wedding guests.

Banquet Setup

The seating arrangement created to help facilitate the banquet event and food service.

Base Fee

The minimum compensation expected for managing and generating revenue for the hotel, earned by the hotel operator.

Bed Tax

A tax added to the price of the hotel based on which city or county that hotel resides in.

Below The Line Promotion

An advertising strategy utilising media other than mainstream radio or television such as direct mail campaigns or brochures.

Benchmarking

Evaluation by comparison against other hotel competitors. Key metrics could include room rates and overall quality.

Bid-Ask Spread

The difference between the highest price that a buyer is willing to pay for an asset and the lowest price the seller is willing to accept.

Blocked

Rooms reserved without a deposit.

Boardroom Setup

A room that seats executives with the chief executive at the head, typically on a long narrow boardroom table.

Booking Patterns

Confirmed sales in a hotel establishment that exhibit a pattern.

Boutique Hotels

Hotels smaller in size that separate themselves from large chains with personalised services and products.

Breakout Rooms

Customisable shared spaces where small groups of attendees can meet. Typical of bridal showers, brunches and more.

Butler Service

Personal service provided by to guests by the hotel.

Buyer

A person responsible for reserving room blocks for their client or company.

Booking Pace

The speed at which bookings materialise from booking date to the arrival date.

Business Mix

The market segment mix that makes up the hotel occupancy which is measured as a percentage.

Cabaret Set-Up

Room arrangement with cocktail tables, chairs and a stage.

Carabet Table

Similar to banquet style tables but smaller in diameter and seat chairs ⅔ of the way around.

Campfire Session

An informal way of presenting and discussing topics with conference attendees.

Catering Sales Manager

A person responsible for promoting the company, helping find new customers and developing relationships for repeat business. Also responsible for hiring, event planning and food preparation.

Channel Management

The process of managing online distribution channels to sell your hotel inventory to various agents such as online travel agents (OTAs).

Charter Group

An organised group of travellers with a custom itinerary.

Closing Ratio

The percentage of calls to contacts resulting in a sale.

Cold Call

The solicitation of business by a hotel salesperson to potential customers with no prior contact with the person receiving the call.

Competitive Set

A group of competitor hotels by which a hotel can compare itself and its performance to.

Commission

A pre-defined fee or percentage of payment to a party for bringing in business to a hotel.

Commissionable Rate Commitment

A contract binding a portion of the room rate to be paid to a specific third party such as an intermediary planner.

Complimentary Ratio

A set ratio of rooms provided at no cost - a common incentive when negotiating the sale of room blocks.

Confidential Tariff

A private discount on rooms specifically for wholesalers, tour operators and travel agents. These tariffs are unavailable to the public.

Co-op Advertising

When multiple brands collaborate with one another to form a mutually beneficial promotion.

Cooperative Marketing

An agreement between two companies to promote and/or sell each other’s products while also selling their own. Often these products will complement each other and serve a common target audience.

Cooperative Partner

Working alongside a tourism office, an independent organisation works to provide donations or cash to help increase the marketing performance of a tourism office’s program.

Corporate Planner

A person to specialises in planning large-scale events for corporations and businesses.

Corporate Rate

A pre-determined special rate for guests who are staying under the negotiated terms for businesses.

Cut-Off Date

The date at which all unused guest rooms that were reserved for a particular party/business will be released to the public.

Day Guests

Guests who arrive and depart the hotel on the same day.

Decor

The furnishings and decoration of a room. These elements can be combined to create an aesthetic theme for an event such as a wedding.

Dedicated Bandwidth

A portion of the hotel’s internet bandwidth which has been dedicated to a particular party or group, such as a business conference.

Definite Booking

A booking that is firm and clear and unlikely to be changed. Usually, a booking that is confirmed in writing.

Demand

Anticipated business for a set period of time. Demand ebbs and flows, for example, seasonal times of the year.

Displacement Analysis

A type of analysis to determine if a group booking (business) would be more beneficial than leaving the rooms to transient customers (non-business) and walk-in guests.

Distressed Inventory

Last minute discounted hotel rooms to help ensure the business reaches full capacity. Similar to the way airlines sell last-minute seats on flights.

Distressed Sale

Occurs when a property needs to sell assets due to unfavourable conditions which results in the seller receiving a lower price.

Early Arrival

A pre-determined agreement with the hotel that allows guests to check-in earlier than the standard time. More often than not, these early check-in’s are sold at an additional price.

Ecotourism

A form of tourism involving responsible travel to natural areas - conserving the environment and improving the well-being of the local people.

English Service

A particular service that requires food to be placed on large platters or in large bowls. Often regarded as a much more informal style of service.

Enterprise Planner

Working exclusively for a large corporation, an enterprise planner coordinates brand events that range from small scale internal meetings to large conferences.

Exposition

Another term used for a large public exhibition of art or trade goods.

Extranet

A private network where hotels can log in and provide their rates, availability and restrictions.

Familiarisation Tours

An event to help familiarise the attendees with the host destination.

Feeder City

City of origin which feed travellers to hubs or getaway cities.

Fenced Rate

Refers to reservations that offer certain benefits to bookers. Often certain conditions and requirements must be met by the booking party.

First-Tier City

These represent the most developed areas of the country with the most affluent consumers.

Folio

A guest’s hotel account overview, detailing all the charges and payments made which is stored at the reception desk.

Forecast

Analysis on revenue expectations for a precise period of time.

Forecasting Model

A tool used to predict outcomes regarding sales, supply and demand, consumer behaviour and more.

Full Board

Includes three main meals with the room rate. Breakfast, lunch and dinner which are usually served as a buffet.

Gala Dinner

A party for a large number of invited guests. Generally consists of a sit down or buffet-style meal, with entertainment and possibly an awards ceremony.

Government Planner

A person to manages events for government functions.

Group Demand

Business from a particular group predicted for a specific period or date.

Group Rate

A set rate secured for all rooms in a room block, which typically correlates to a certain event.

Half-Board

A rate paid which includes a room, breakfast and the choice of either lunch or dinner.

Half-Pension

A rate paid which includes a room, breakfast and dinner.

Heads In Beds

A particular strategy to increase hotel bookings by casting a wider net than they originally do.

Hospitality

Hospitality is the friendly treatment and care of guests in the service and hospitality industry, with the goal of providing comfort and satisfaction.

Hospitality Industry

The hospitality industry encompasses businesses providing services related to travel, accommodation, food and drink, recreation, and entertainment.

Hot Buttons

An issue that arises which creates an emotional reaction, issues and legal principles in hotel contracts that cause tension between planners and suppliers.

House Count

The total number of guests currently on the books at a hotel.

House Manager

A position below the General Manager who is responsible for an individual hotel.

Icon

A well known famous landmark or facility which is associated with the destination.

Inbound Tourism

Visits to a country by visitors who are not residents of that country.

Incidental Charges

Any service or product that costs extra from the room rate such as parking, late check-out, in-room movies.

Incentive Travel

A prize or reward trip to help incentivise the hotel's staff’s increase in productivity and/or quality of work.

Independent Hotel

A hotel that is not associated with a nationally or regionally recognised hotel, resort brand or franchise.

Intranet

An internal private website (or portal) to help employees stay up-to-date with their company.

Intelligent Hotels

Or “smart hotels”, utilise the latest internet-connected devices to help with the day-to-day running of the hotel.

Inventory

All the rooms available to the public that are ready to sell across all channels.

Joint Venture

A business agreement in which two or more parties pool their resources together with the aim of completing a specific common goal or task.

Lanai

A room that features a patio or balcony that overlooks water or a garden.

Lead

A potential booking that has yet to commit to the purchase of a room or block of rooms.

Lead Conversion

A lead that has successfully been converted into a customer.

Look-To-Book Ratio

The percentage of people who book with you after viewing your property's website. Also known as “conversion rate”.

Market Parity

A process in which you assess your product or service contribution against competitors to help define your market price and competitiveness.

Market Share

The percentage of total sales (by value) that a business has in a specific market segment.

Merchant Rate

A business model used by Online Travel Agents (OTAs) to markup hotel net rates to sell to the public.

Net Rate

A hotel rate given to travel agents and tour companies that can be marked up and sold at a higher rate to the end customer.

No-Show

When a confirmed customer or party does not show up for their reservation without contacting the hotel to cancel or change.

Occupancy

The number of occupied rooms divided by the number of rooms available.

Occupancy Forecast

A prediction for the hotel’s occupancy rate during a set period.

Occupancy Rate

The ratio of rooms being used to the total amount of rooms available.

Offsite

A company meeting or event that happens off company grounds and external space is required.

Other Revenue

Revenue made that is not from room blocks or food and beverage.

Outbound Tourism

Residents travelling to an international destination.

Outside Vendor

A supplier that is not considered in-house nor part of the preferred vendor list for the hotel.

Overbooking

When a hotel sells more rooms than physically available.

Partition

A portable wall or barrier that can easily be moved to help divide large spaces into smaller ones.

Pax

An alternative term used for the number of people or passengers

Peak Season

A season or set of dates where occupancy at the hotel is at its highest or is predicted to be at its highest.

Pitfall

A hidden or unexpected danger or difficulty.

Positive Space

A confirmed reservation

Press Trip

Enables journalists to experience a property or service first-hand with the intention of writing about it.

Preferred Rate

A rate negotiated between a hotel and a particular client.

Programme

The schedule for a planned event with times and pieces of event agenda.

Proprietary Booking Engine

An independent or group of hotels that own and operate their internet reservation system.

Prospecting

Finding potential customers and clients. Usually undertaken by sales reps to help expand the customer base.

Protected

A supplier or wholesaler who provides a guarantee to reimburse an agent’s commission on prepaid confirmed bookings, regardless if they cancel or not.

Qualified Rate

A rate that is only offered if certain qualifications are met such as corporate rate or promotional package.

Qualifying Questions

Specific questions from hotels that help examine and determine potential future business.

Quin

A room which has been set up to comfortably accommodate five people.

Rack Rate

The term used for the published rate for one night’s stay without any discounts or premiums included.

Rate Parity

When certain conditions are met, a hotel will keep the same price across all its different distribution channels.

Receiving Fee

A charge that may be incurred from the hotel for handling packages that are delivered on behalf of guests or groups.

Receptive Operator

People who manage arrangements for incoming visitors. This can include things like airport transfers, restaurant bookings and accommodation bookings.

Refreshment Break

A specific period during or between events where snacks and beverages are provided.

Refundable Deposit

If certain conditions are met, a deposit may be returned to the buyer.

Repeat Business

Returning customers or clients to a hotel.

Repeat Booking

When repeat business is booked again on behalf of the same client.

Revenue Management

A continuous process of analysing data to predict demand and adjust hotel rates accordingly.

RevPAR

A metric used to measure hotel performance.

Room Block

A specific set of rooms that are researched for guests in a group.

Room Class

A grouping of rooms based on similar characteristics. For example, double or king-size rooms.

Room Nights

Booked rooms multiplied by the number of nights those rooms are reserved for.

Room Rack

A filing system designed to display guest and room status information.

Rooms Management Module

An application used on a property management system used at the front office. This application helps maintain up-to-date information on room status, assignment of rooms and coordinate guest services.

Rooms to Space Ratio

The ratio required for each attendee in a room. A typical rule of thumb is 20 square feet of space per attendee.

Rooms Yield

An equation using the average revenue of all rooms, divided by the number of rooms in a hotel, divided by 265 nights.

Sales Blitz

An organised effort to focus all its sales force on a particular task or event.

Sales Yield

The amount of income or profit made from sales.

Second Tier City

Also known as a midsize city. The term is used for a popular event city that doesn’t meet the infrastructural requirements of a first-tier city.

Shoulder Nights

A night that is either side of a peak day. FOr example, Sunday would generally be considered a shoulder night as the night is lower in demand compared to Saturday night.

Shoulder Season

A period adjacent to the peak season with lower occupancy.

Site Inspection

A planner conducts an in-person evaluation of the hotel and event space.

Social Event

An event taking place at a hotel with its primary purpose of networking or celebrating a life event such as a wedding or birthday.

Source of Business

A breakdown of how and where business was brought in from and which channel was used.

Stay Pattern Management

A revenue management method seeking to optimise the hotel’s capacity.

Stop Sell

Halting the hotel from being booked on distribution channels, normally used when the hotel is sold out during a certain time period.

Third Party Planner

An experienced event planner that negotiated hotel contracts for events on behalf of the booking organisation.

Trade Show

An exhibition for a specific industry showcasing products and services. Held for members of a common or related industry.

Transient Business

Business made up of a segment of people looking for short and often urgent hotel stays. Typical of walk-in guests, business travellers and last-minute bookers.

Transient Demand

The prediction of demand from the transient segment for an upcoming period.

Transient Occupancy Tax

City or country tax which is added to the price of a hotel room.

Trial Close

A sales tactic professionals use to try and determine whether the buyer is serious about closing the deal.

Turn

The process of completing changing up a meeting room set-up from one event to another.

Two-pack Hotels

Also known as dual-brand hotels used to describe a property that combines and houses two hotels that operate separately. Usually seen from two brands from the same chain of hotels.

Unconference

This is a participant-driven meeting. Dictated in real-time and favours discussion and interaction with people attending.

Unconstrained Demand

Refers to the number of rooms that could be sold if there were no constraints or limits.

Unqualified Rates

Rates that are offered to hotel guests without restrictions or conditions.

Voice

Taking a hotel reservation over the phone.

Walk

This involves moving guests to another nearby hotel when overbooking occurs.

War Room

An alternative term used for the office or meeting room.

Wholesaler

Third-party businesses that sell hotel rooms such as websites, distribution channels and extranets.

Yield Management

An alternative term for “revenue management”. The process of understanding, analysing, anticipating and reacting to consumer behaviour to help maximise the hotel’s revenue.

Now You Know The Most Common Hotel Terms and Acronyms

We hope this hotel dictionary has been helpful to you. Bookmark this guide to help you recognise and understand common hotel terms as you chat and interact with people within the hospitality industry.

If you think we’ve missed any common terms, do let us know and we’ll happily add them to this evergrowing list.

The Hospitality Dictionary: Guide To Hotel Terms, Acronyms & Abbreviations

Hotel Abbreviations & Acronyms List

Hospitality Terms & Definitions

Now You Know The Most Common Hotel Terms and Acronyms

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